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Hvad forklarer den ti år lange nedgang i sørøveri og røveri i Sydøst Asien? Miha Hribernik hævder, at regionalt samarbejde – primært gennem ReCAAP mekanismen – har været en vigtig faktor, som vil blive endnu vigtigere med tilføjet deltagelse i Malaysia og Indonesien.

Sidste år har vi oplevet et fald i rapporteret [2] angreb mod skibe i nogle af verdens mest piratkopiering udsatte områder, såsom Adenbugten og – for første gang siden 2009-i Sydøstasien.[3] i den samme periode, men steget hyppigheden af angreb i nogle dele af sidstnævnte betydeligt, især i de farvande og havne i Indonesien. Dette papir anfører følgende: først, at den forbedring af situationen i Sydøstasien som helhed, i vid udstrækning kan tilskrives succes af multilaterale counter - pirateri initiativer, hovedsagelig den regionale samarbejdsaftale om bekæmpelse af sørøveri og væbnet røveri mod skibe i Asien (ReCAAP). Andet, Malaysia og Indonesien – kun to Association of Southeast Asian Nations (ASEAN) medlemsstaterne, ikke der ReCAAP kontraherende parter – tiltrædelse kunne bidrage til den mekanisme større effektivitet i Sydøstasien. Deltagelse af Indonesien kunne navnlig hjælpe håndtere det hurtigt stigende antal piratvirksomhed og røverier hændelser til søs inden for dens jurisdiktion. Tredje, multilaterale initiativer som ReCAAP repræsenterer en ideel mulighed for den Europæiske Union (EU) og enkelte europæiske stater til at øge deres indflydelse i Sydøstasien og vinde fodfæste som sikkerhedsaktører i regionen.

Papiret først diskuterer rollen, som ReCAAP og dens oplysninger deling Center (ISC) i bekæmpelse piratkopiering og røveri angreb mod skibe i Sydøstasien, fortsætter med en kort vurdering af situationen i 2012, og til sidst kaster lys over den eksisterende og potentielle rolle i den Europæiske Union (EU) og europæiske stater inden for ReCAAP.

En oversigt over ReCAAP og ISC

Sydøst Asien har været plaget af velorganiserede pirat grupper i århundreder, længe før Piratkopierings fornyede stigning i slutningen af 1900-tallet. Selv om det ikke har fået så meget opmærksomhed i medierne som pirat aktivitet i Adenbugten, Sydøstasien blev betragtet som verdens vigtigste piratkopiering hotspot før det foregående årti stigning i angreb ud for Somalias kyster. Det er vigtigt at bemærke, at omkring halvdelen af alle rapporterede piratkopiering begivenheder i verden siden 1990 ' erne, fandt sted, i og omkring det Sydkinesiske Hav.[4] i betragtning af, har at en tredjedel af verdens søtransport passerer gennem denne strategisk vigtige del af Stillehavet på årsbasis, [5] piratkopiering i regionen potentiale til at betydeligt påvirke verdenshandelen.

Læs hele artiklen The International Relations and Security Network
Japan og Kina kan ikke altid se øje til øje på politik. Men når det kommer til økonomisk politik, Tokyo og Beijing har bemærkelsesværdigt ens mål: begge ønsker at skubbe gennem vidtrækkende ændringer i deres økonomier over for stigende gældsætning og hurtigt grånende populationer.

I Kina, myndighederne forsøger at styre økonomien mod mere indenlandske forbrug og vækst i servicesektoren. I Japan, er regeringen i premierminister Shinzo Abe forsøger at trække økonomien ud af årtiers deflation og sløv vækst.

I hvilket omfang hvert land lykkes vil være af afgørende betydning, ikke blot til Asien, men i verden. Kina, med et bruttonationalprodukt på omkring $9 billioner sidste år, og Japan, med sin 5 billioner dollar økonomi, er de anden - og tredje-største økonomier i verden, efter USA. Meget afhænger af om disse økonomiske kraftcentre kan lykkes i deres eftersyn i de næste par år.

"Du har to af de største økonomier i verden fyring på bare én cylinder," siger Frederic Neumann, fælles leder af asiatiske økonomi ved HSBC. "Dette er en kritisk periode."
18asiaecon01-articleLarge

Analytikere og erhvervsfolk har hilst de ændringer, der er blevet indført eller i det mindste annonceret i Kina og Japan i de seneste 18 måneder.

"De har anerkendt, at de virkelig har brug at gøre noget," sagde Gemma Godfrey, leder af investeringsstrategi på Brooks Macdonald Asset Management i London. "Må ikke undervurdere, hvor vigtigt det er."

Men hurtigere vækst er svært at opnå, og meget af det hårde arbejde er endnu ikke kommet.

I Kina, statistikkerne viser, at økonomien voksede 7,4 procent år-til-år i første kvartal – ned fra 7,7 procent i sidste kvartal af 2013.

Og i Japan, et kraftigt fald i økonomiske forventninger blandt supermarked ledere og restaurant arbejdstagere, i en måler udgivet sidste uge, antydede på forværring forretningsbetingelser i kommende måneder. Den Europæiske Centralbank undlod at optrappe sine bestræbelser på økonomiske stimulus denne måned men muligvis gøre så senere på året til at opveje en afmatning i privatforbruget det er forventet at indstille efter moms øge trådte i kraft i begyndelsen af måneden.

Læs hele artiklen The New York Times
tpp_pjve

12 nationer mæglervirksomhed en Pacific-fælg handelsaftale vil fortsætte forhandlingerne, som USA og Japan ikke har kunnet overvinde hovedforskelle forud for et planlagt besøg af præsident Barack Obama i Japan.

US Trade Representative Michael Froman og japanske Minister for økonomi- og finanspolitiske politik Akira Amari i går sluttede samtaler i Washington på Trans-Pacific partnerskab uden slående et tilbud på nogle af de mest omstridte spørgsmål.

"Efter mere end 20 timers forhandlinger, vi fortsat skal gøre fremskridt," amerikanske handel kontor meddelte i går i en usigneret erklæring. "Disse spørgsmål er vigtige for begge sider og er der fortsat betydelige forskelle."

Forhandlerne havde fremskyndet deres arbejde - møde i Tokyo i sidste uge og Washington i denne uge - som præsident Barack Obama forbereder sig på at besøge Japan, Malaysia, Filippinerne og Sydkorea April 24-28. De nationer smedning pagten ikke holder sig til en specifik deadline og vil tage tid nødvendige for at opnå en god aftale, ifølge en amerikanske embedsmand, der ønskede anonymitet at orientere journalister.

Ledende forhandlere fra TPP lande mødes i midten af maj i Vietnam for yderligere forhandlinger, sagde embedsmanden. Handelsministrene mødes separat under en Asien-Pacific økonomisk samarbejde topmøde i Qingdao, Kina fra maj 17-18.

Største aftale

Udfyldes, ville Stillehavsområdet overenskomst være den største handelsaftale i USA 's historie, forbinder en region med omkring 28 billioner dollar i årlige økonomiske output, omkring 39 procent af verdens samlede. Ud over USA og Japan er de lande, der søger overenskomsten Australien, Brunei, Canada, Chile, Malaysia, Mexico, New Zealand, Peru, Singapore og Vietnam.

Washington-baserede US Chamber of Commerce, nationens største business lobby, er på udkig efter Obama og japanske premierminister Shinzo Abe til at sige, de er forpligtet til at gennemføre handlen, ifølge Tami Overby, gruppens næstformand for Asien spørgsmål.

Undladelse af at kortlægge en vej fremad på tidspunktet for næste uge møder ville betyde, at sandsynligvis ikke opnås enighed før amerikanske valg i November, sagde hun under en 16 April briefing med journalister.

"Hvis det er business as usual, min frygt er folk ville miste energi omkring TPP lige nu," sagde Overby. "Jo længere dette trækker på, jo mere modstanderne vil have mulighed for drage fuld fordel af det og vil gøre det sværere."

Læs hele artiklen Bloomberg
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Maj, er industriens ledere i Japan vært for den første nogensinde internationale konference for at fremme viden og ledelse omkring den kommende gaming lovgivning i Japan. Mens individuelle investorer ikke kan være i stand til at deltage i konferencen at lære første hånd af japansk gaming regler og lovgivningsmæssige initiativer kommer som konferencen vil koste omkring $1800 til at deltage i, de kan helt sikkert vinde fra den overordnede følelse at gaming i Japan videre hurtigt.

Alle ønsker
Sidste år, casino selskaber som Las Vegas Sands (NYSE: LVS), MGM Resorts International (NYSE: MGM), Wynn Resorts (NASDAQ: WYNN), og Melco Crown (NASDAQ: MPEL) alle gjort overskrifter, når de hver især gjorde dristige påstande om hvor meget de ville straks investerer i Japan, hvis regeringen indvilget i at ændre sine love og åbne land op til legaliseret kasinoer. Las Vegas Sands CEO Sheldon Anderson førte den bullish krav ved at sige, han ville investere 10 milliarder dollar, hvis nødvendigt.

Japans vellykket bud for 2020 sommer spil wil være ikke billig, regeringen vil være ansporet af tanken om flere gaming indtægter kommer tid. Foto: CNN
På tidspunktet var investorerne usikker på, hvorvidt påstandene blev investeringer værdig. Der var jo stadig den truende forhindring af den japanske regering faktisk lovgivning for at tillade gaming. Mens regeringen har helt sikkert syntes støttende i det sidste år med udtalelser i håb om at gaming indtægter kunne finansiere en del af 2020 Olympiske Lege i Tokyo, det var altid stadig usikkert, hvor sandsynligt det er, at ville lovgivningen passere.

Japan Gaming konference, taler som om det er en sikker satsning
Som konferencen introduktionsside påstår, medlemmer af den japanske regering, industrien ledere lokale turistindustri, og både lokale og internationale casino virksomhedens ledere er alle indstillet til at præsentere den seneste udvikling med hensyn til hvilke analytikere er enige om at være en potentiel $10 milliarder på markedet.

Konferencen også hævder at være begyndelsen af regeringen og industrien arbejder sammen i de kommende 18 måneder til at forme denne nye lovgivning og industrien i Japan. Konferencen vil give mulighed for internationale og lokale virksomheder inddrages i hele forsyningskæden, kommer sammen for at hjælpe med at bestemme, hvordan integreret Resorts (IRs) vil fungere og vokse i Japan.

Fortsæt læsning
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Det er tid til at slå ned på eskalering i air rage og andre forekomster af forstyrrende og potentielt farlige passager adfærd, siger International Air Transport Association.

For mange flypassagerer, der begår alvorlige forbrydelser om bord retsforfølges ikke på grund af juridiske smuthuller i eksisterende luft politiske aftaler, den faggruppe, der repræsenterer omkring 240 flyselskaber verden over sagde tirsdag.

"Flyselskaber gør alt hvad de kan for at forebygge og håndtere uregerlige passager hændelser, men det skal følges op med effektiv retshåndhævelse," IATA generaldirektør og administrerende direktør Tony Tyler sagde i en erklæring.

"Rapporter af uregerlig adfærd er på fremmarch. Der er for mange eksempler på folk at komme væk med alvorlige overtrædelser af sociale normer, som fare for flyvninger fordi lokale retshåndhævende myndigheder ikke har magt til at handle."

IATA statistik angiver, at hændelser af forstyrrende adfærd sprang til mere end 6.000 i 2011, fra omkring 500 i 2007.

Men sikkerhedseksperter siger, der er plads til luftfartsselskaberne til at intensivere deres egne bestræbelser på at forebygge og kontrollere passager ubehøvlet opførsel som flyvendes appel udvider, discount flyselskaber formere og kunde servicestandarder falder.

"Vi bør undersøge hvordan luftfartsselskaber, der leverer alkohol på fly og hvordan de ofte ikke screening passagerer at komme på et fly at se om de er berusede," sagde Charles Slepian, en Portland, Oregon-baserede ekspert om luftfart sikkerhedsspørgsmål.

"Lange flyvninger, for meget alkohol, overfyldt betingelser oprette denne afbrydelse," sagde han.

Andrew Thomas, lektor i international business på Universitet Akron, siger IATAS opfordring fra regeringerne til at lette retsforfølgning er en god start på hvad han ser som et stigende problem.

Læs hele artiklen The Globe and Mail
WASHINGTON -- The Supreme Court on Tuesday expanded protections for whistle blowers covered by an anti-fraud law passed following the collapse of energy giant Enron, ruling outside accountants, auditors and lawyers cannot be fired or punished for exposing fraud.

The 6-3 decision will have an effect in the mutual fund and financial services industries, the court said, because they rely heavily on outside contractors and advisers.

The case before the court arose when two employees of a firm that did research for the Fidelity family of mutual funds revealed the funds were overstating expenses. They alleged that in some instances, Fidelity was operating “veiled index funds” while collecting a fee as though they were actively managed.

The two employees say they were reprimanded and ultimately dismissed for having exposed this fraud. When they sued their employer under the Sarbannes-Oxley Act, they lost when an appeals court ruled the law’s protection for whistle blowers covered only employees of public firms, not outside advisers and accountants.

In their appeal to the high court, they said this would reimpose “the very code of silence” that allowed massive frauds such as Enron to occur.

Justice Ruth Bader Ginsburg, speaking for the court, said Congress meant to broadly protect whistle blowers who could expose wrongdoing. It made no sense, she said, to think “a Congress, prompted by the Enron debacle, would exclude from whistle-blower protection countless professionals equipped to bring fraud on investors to a halt.”

Chief Justice John Roberts and Justices Antonin Scalia, Clarence Thomas, Stephen G. Breyer and Elena Kagan agreed.
A dissent was filed by Justice Sonia Sotomayor who said the law covered only “employees” of public companies, not outside advisers. Justices Anthony Kennedy and Samuel Alito agreed with her.

The whistle-blower provisions in the law protect those who reveal frauds from retaliation, and they also allow them to receive a share of money that is recovered if a fraud is exposed.

Source: http://www.latimes.com/nation/nationnow/la-na-nn-supreme-court-scotus-whistle-blower-20140304,0,1883091.story#axzz2wMFSSInO
 
 The Supreme Court appeared divided into three camps on whether to overrule or alter a long-standing legal precedent that provides the foundation for many class-action lawsuits alleging securities fraud.

The court heard an hour-long oral argument in a case involving Halliburton Co. and whether to overturn a 1988 Supreme Court decision which held that investors in securities-fraud lawsuits don’t have to prove they relied upon any misleading statements by a company.

By the end of an hour-long argument session, it appeared some justices were looking for a middle-ground to resolve the case.

The court, in Basic v. Levinson, said it was enough that investors rely on the integrity of stock prices, which are a reflection of publicly available company information. That legal doctrine, known as fraud-on-the-market, has provided a basis for allowing investors to pool their claims into one large class-action lawsuit. Read the full WSJ story here.

If the court abandons its earlier precedent it could make it difficult for investors to bring class-actions alleging they were misled.

The court’s four liberal justices, including Justice Elena Kagan, voiced resistance Wednesday to overturning the 1988 decision.

Justice Kagan said Congress has been active in passing securities-law reforms and has had “every opportunity” to overrule or alter the court’s Basic decision, but hasn’t done so. She and other liberal justices suggested there was no strong justification for the court to overrule its prior precedent, which the court generally is reluctant to do.

Conservatives justices expressed concern about the court’s 1988 ruling, but appeared divided on how to proceed.

Justices Antonin Scalia and Samuel Alito voiced skepticism of the premises behind the court’s earlier decision, suggesting it had made it too easy for investors to have their lawsuits certified to proceed as class-actions. Justice Scalia said once investor cases are allowed to go forward as class-actions, company defendants feel pressure to settle even weak cases.

But Justice Anthony Kennedy, a moderate conservative justice, repeatedly asked questions that sought a compromise in deciding the case. He asked whether companies defending against securities-fraud allegations ought to have a chance, before a class-action is certified, to argue that any alleged company misrepresentations didn’t have an impact on the company’s stock price. The court could embrace that approach without abandoning its earlier case, he suggested.

Other justices later voiced interest in Justice Kennedy’s line of questioning. By the end of the session, it didn’t appear that a majority of the court was prepared to fully abandon the 1988 precedent.

The case is being closely watched in investing circles and by the business community. The underlying dispute focuses on a decade-old lawsuit covering investors who bought HalliburtonHAL +1.02% shares between 1999 and 2001. The plaintiffs allege that Halliburton misled the public about its asbestos liabilities, about revenue on construction contracts, and about the benefits of its 1998 merger with Dresser Industries. Halliburton argued that any misrepresentations alleged by the plaintiffs had no actual impact on the company’s share price.

Halliburton asked the court to overturn the 1988 precedent, but as a fallback position, has also advocated for changes to the legal process that are similar to the ones raised by Justice Kennedy.

A ruling is expected by the end of June.
There are plenty of candidates for that title, but after Tuesday the prize belongs to attorney Steven Donziger. Federal judge Lewis Kaplan ruled that the environmental activist had engaged in a massive racketeering scheme and declared that a $9.5 billion judgment against Chevron CVX -0.89% in an Ecuadorian court cannot be enforced in the United States.

As our readers know, in 1993 Mr. Donziger sued Texaco (now merged with Chevron) for what he said was the company's failure to clean up oil pits it drilled in Lago Agrio in the 1970s with state oil company PetroEcuador. Chevron had signed proof that it had cleaned its portion of the pits and had been absolved of any liability, but Mr. Donziger sniffed the potential windfall of a media-ready environmental "disaster" and sued the company for $113 billion. He enlisted all manner of celebrity helpers, including actress Daryl Hannah.

He won in Ecuador, but only thanks to what Judge Kaplan found were "dishonest and corrupt" measures including bribery, coercion and engaging an American consulting firm to ghostwrite an independent expert's reports. In a 485-page opinion, the judge called the case "extraordinary," calling the actions of Mr. Donziger and his legal team "offensive to the laws of any nation that aspires to the rule of law, including Ecuador." The corrupt extortion was intended to "instill fear of a catastrophic outcome in order to increase the amount Chevron would pay to avoid the worst," Judge Kaplan wrote.

Chevron refused to give in, and now the case may serve as an example of how companies can fight back if they have the nerve and the cash. Mr. Donziger says he'll appeal, but on the factual record he stands discredited. Another worthy casualty may be financially strapped Washington law firm Patton Boggs, which got involved on behalf of Burford Capital's BUR.LN -0.44% effort to provide litigation financing to the plaintiffs. Tuesday's opinion means the firm won't collect any plunder, which couldn't happen to a nicer crowd.

Mr. Donziger is a pioneer of the foreign environmental tort, trying to exploit Third World juries to bleed U.S. companies regardless of the merits. We're glad to see his dishonesty face American justice. `
A report issued by the Justice Department’s inspector general, Michael E. Horowitz, underscores the danger of extolling short-term results when it comes to prosecuting white-collar crimes. The report highlights how generating headlines seemed to take precedence over accurate figures in the government’s fight against mortgage fraud.

In October 2012, less than a month before the presidential election, Attorney General Eric H. Holder Jr. called a news conference to trumpet the Justice Department’s success in combating foreclosure fraud through a program called the Distressed Homeowner Initiative. “The success of the Distressed Homeowner Initiative, and the developments we announce today, underscore our determination to pursue these and other financial fraud criminals around the country,” Mr. Holder said in a statement.

The claims of great success came during a time of persistent criticism that the Justice Department was not taking stronger action to pursue fraud in the run-up to the financial crisis. The numbers offered by Mr. Holder for the first year of the initiative were impressive: charges filed against 530 defendants, including 172 executives, from frauds that resulted in losses of more than $1 billion.

After questions from the news media about those claims, almost a year later the Justice Department revised those figures significantly downward. The total number of defendants charged was 107, with no reference to any executives, and the loss from criminal activity was $95 million. In response to Mr. Horowitz’s report, a Justice Department spokeswoman pointed out: “In the time period in question, the number of mortgage fraud indictments nearly doubled, and the number of convictions rose by more than 100 percent.”

An interesting question is whether accurate reporting of the results, like a 100 percent increase in convictions, would have generated the kind of headlines the government seemed to want. Bringing that many more cases for a complex white-collar crime is a good result, but claiming to pursue several corporate executives gave the original numbers much more punch in light of accusations that the Justice Department was being soft on Wall Street.

The inspector general’s report puts much of the blame for the inflated figures on how the F.B.I. gathered the information for Mr. Holder. Mr. Horowitz noted that “we found significant breakdowns in the process used to develop the results of the Distressed Homeowners Initiative.” That occurred at least in part because the F.B.I. had “too little time and resources available to allow for vetting of the data.”

The report does not give a reason for taking such a slapdash approach, but I think it is clear that there was pressure to announce the success of the initiative to demonstrate how the Justice Department was responding to public outcry over the lack of tangible evidence that prosecutors were taking a hard line. And so we have an example of “act in haste, repent at leisure.”

Intensifying the pressure to report robust results was additional money provided by Congress for positions to be used to combat mortgage fraud after the financial crisis. Both the Justice Department and the F.B.I. received millions of dollars for new employees, and that means showing the money was put to good use. But Mr. Horowitz’s report states that mortgage fraud was not a high priority for the F.B.I., in part because it was declining as lenders toughened their standards. In these days of tight budgets, however, no agency turns down an appropriation.

The government is fond of calling a new initiative an operation, which implies a sense of urgency and resolve. In 2010, before the Distressed Homeowner Initiative, the Justice Department started Operation Stolen Dreams to take on a broad array of mortgage frauds. Less than three months after it started, Mr. Holder announced that prosecutors had brought cases involving “1,215 criminal defendants nationwide, including 485 arrests, who are allegedly responsible for more than $2.3 billion in losses.”

Those are impressive numbers for a white-collar crime, especially in such a short period, but their validity may be open to question. Mr. Horowitz’s report points out that his office did not audit these figures, and in light of the other findings, he recommends that the Justice Department “revisit the results.”

Catching those engaged in mortgage fraud is not like operating a sobriety checkpoint or drug dragnet that quickly yields arrests. Trumpeting initiatives for pursuing complex white-collar crimes whose success will be reported in months rather than years runs the risk of offering results that don’t grab the public’s attention — or worse, makes them look like failures.

As an initial matter, just figuring out what the numbers are can be difficult. Mortgage fraud is not a separate crime but a subset of federal offenses like bank fraud, mail fraud and wire fraud. So prosecutions involving mortgages may not show up easily in government records.

A greater problem in announcing a crackdown is that these types of cases often don’t come to light until months, or even years, after the transactions, and the fraud can take many different forms. During the period when real estate values soared, there were schemes to inflate property values so that lenders were making loans for far more than houses were worth. Once the housing bubble burst around 2007, mortgage frauds morphed into schemes to defraud homeowners trying to avoid foreclosure.

Putting together a mortgage fraud case requires amassing a large volume of documents to track ownership, housing values and the transfer of money. Even figuring out where a fraud involving inflated housing values took place usually requires a bank or real estate company to report suspicious activity, which could come long after the scheme ended when the loan finally defaults.

For scams involving homeowners who face foreclosure, just identifying whether a crime took place is difficult. Those in danger of losing their homes may grasp at straws in seeking help, with companies taking advantage of them by doing just enough to make it appear they tried to help. Victims may not recognize a fraud or have the time and energy to pursue a complaint in the face of losing their homes.

This type of scheme often involves modest sums taken from those who can least afford it. The Justice Department tends not to pursue small cases, leaving them to local law enforcement, so any number of violations could easily fall through the cracks.

Mortgage fraud, like most white-collar crimes, requires painstaking investigation over a long period, so there will never be a flood of cases. And even when the government commits resources to investigations, there will be some that do not pan out.

But that does not make headlines when the government paints itself into a corner by pursuing initiatives that imply a promise of quick results.

Feb. 19 (Bloomberg) -- As Credit Suisse Group AG sees it, time has run out on New York Attorney General Eric Schneiderman’s pursuit of Wall Street banks for mortgage fraud that helped trigger the financial crisis.

Schneiderman sued Credit Suisse in 2012 as part of a wide- ranging probe into mortgage bonds. He claimed Switzerland’s second-largest bank misrepresented the risks associated with $93.8 billion in mortgage-backed securities issued in 2006 and 2007.

Credit Suisse asked a Manhattan judge in December to dismiss Schneiderman’s case, as well as his demand for as much as $11.2 billion in damages. The bank argued that New York, by waiting so long to file the lawsuit, missed a three-year legal deadline for suing. The state countered that it had six years to file its complaint.

If the bank wins, Schneiderman will face a new roadblock as he considers similar multibillion-dollar claims against a dozen other Wall Street firms. The judge in New York State Supreme Court could rule at any time.

“It would obviously tilt everything in the favor of Credit Suisse and similarly situated financial institutions,” said David Reiss, a professor at Brooklyn Law School, hindering New York’s remaining efforts to hold banks accountable for mistakes that spurred a recession.

Obstacles Posed

The obstacle posed by such statutes of limitation in pursuing mortgage-bond cases may be traced back to Andrew Cuomo, Schneiderman’s predecessor. Although now-Governor Cuomo didn’t file any such cases against the banks, he announced a probe into all aspects of the mortgage business in 2008.

In doing so, he may have started the clock ticking on how long a state suit could be filed, making it impossible for fellow Democrat Schneiderman to argue his office didn’t learn of the bank’s conduct until he took office in 2011.

On Feb. 6, Credit Suisse said it was setting aside 514 million Swiss francs ($568 million) for legal issues, including 339 million francs for mortgage litigation. The bank may be preparing to resolve a related bond insurer lawsuit, Mark Palmer, an analyst with BTIG LLC in New York, said in a Feb. 10 note.

Matt Mittenthal, a spokesman for Schneiderman, and Dani Lever, a spokeswoman for Cuomo, declined to comment on the Credit Suisse case.

Filing Deadline

Schneiderman, 59, avoided a filing deadline dispute by settling a mortgage-bond case with JPMorgan Chase & Co. last year. The state got $613 million in that pact, New York’s share of the landmark $13 billion federal-state accord with the largest U.S. lender.

Armed with the Martin Act, New York’s powerful anti-fraud tool, Schneiderman has said he is seeking settlements with the other, unidentified banks.

In the lawsuit against Zurich-based Credit Suisse, filed in November 2012, he claims the bank ignored warning signs about the quality of loans it was packaging and selling. One example cited was its use of New Century Financial Corp. mortgages after that firm’s 2007 bankruptcy.

The attorney general’s lawsuit involves 64 Credit Suisse bond offerings in 2006 and 2007. Credit Suisse has said the losses on those offerings were only about half of the $11.2 billion claimed by Schneiderman.

One Credit Suisse executive described some of the mortgages the bank sold as “complete and utter garbage,” according to the complaint. The bank relied on mortgage originators that “systematically abandoned underwriting standards in the years leading up to the collapse of the housing market,” Schneiderman said.

Thrown Out

Credit Suisse, which denies any wrongdoing, told Justice Marcy S. Friedman Dec. 11 that the suit should be thrown out because it was filed more than three years after the alleged wrongdoing was discovered.

Consumer fraud and personal injury claims are generally subject to a three-year statute of limitations under New York law, while financial frauds can be granted six years.

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